Bhutan's New Pursuit of Happiness

The government of this remote Himalayan nation between China and India has a new message for the outside world: Bhutan is open for business. But some residents believe Bhutan's peace and stability – and its unique culture – will be jeopardized if it opens its gates much further. (Video)

Updated Nov. 23, 2010 10:37 a.m. ET

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Bhutan has long struggled to balance outside intrusions with its inward-looking instincts. It fought against Tibetan invaders in past centuries and tussled with the British during colonial times. At left, a man walked past Taktsang monastery, also known as the Tiger's Nest, in Bhutan.
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The Taktsang monastery was built in 1692 around a cave where 'Guru Padmasambhava' -- credited with introducing Buddhism to Bhutan -- is said to have meditated for three months in the 8th century.
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Bhutan retained its independence, and its isolation, in part because of its rugged landscape, which makes it hard for outsiders to get in. At left, Bhutanese musicians played traditional instruments in Thimphu, Bhutan's capital.
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It also had a series of kings who made it a priority to preserve Bhutan's Buddhist-oriented culture. A large proportion of Bhutan's total population are Buddhists. At left, a young monk sat inside a monastery in Paro.
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The fourth king, Jigme Singye Wangchuck, popularized "gross national happiness" as an alternative to the growth-at-all-costs mindset of other countries.
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It has used extensive surveys on issues such as stress to provide what Bhutanese officials believe is a more meaningful measure of a society's development over time. At left, children reacted to the camera through the window of their classroom in Thimphu on Sept. 22.
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The king also pressed for Bhutan to become more democratic, which he felt would be more sustainable than a monarchy. Although he handed over the throne to his son in 2006, the position is now largely ceremonial. At left, monks studied at Dechenphodrang monastery in Thimphu.
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Change is coming fast since the monarchy engineered the peaceful transition to parliamentary democracy in 2008. At left, a man aimed his bow in an archery competition in Paro on Oct. 4. Archery is Bhutan's national sport, and competitions are held regularly in most villages.
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The elected government is concerned democracy won't survive unless Bhutan's 700,000 people have more high-paying jobs and development, so it's moving to bring Bhutan further into the global mainstream.
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Some 23% of the population lives below international poverty standards, Bhutanese Prime Minister Jigme Thinley says. At left, a girl made butter in a farmhouse in the Haa valley.
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Officials are pushing an array of projects, including a new domestic airline, an "information technology" hub, and a $1 billion or more "education city" they hope will attract investments from major universities in India and possibly the U.S. At left, school girls on their way home on Oct. 6.
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Officials want to jack up the number of outside visitors to about 100,000 a year, from fewer than 50,000 in 2009. They even want to make Bhutan a destination for conventions. At left, the Himalayan Mount Jomolhari was seen from Chilela, a pass between the Bhutanese valleys of Paro and Haa.
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All that activity is stirring up anxiety, especially among residents who believe Bhutan's peace and stability – and its unique culture – will be jeopardized if it opens its gates much further.
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Bhutan is "doomed" if projects, like the education city, take off, says Tshering Tobgay, Bhutan's opposition leader, because they'll make impossible demands on the country's labor force and infrastructure. At left, a woman loaded mules with straw in a village of Paro.
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Mr. Thinley and other officials say they are intent on preserving Bhutan's culture and are only targeting investments compatible with the country's unique circumstances. At left, a warden directed traffic in Thimphu on Oct. 4.
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"Until now we haven't really aggressively marketed ourselves – we had an unwritten guideline that maybe we have to stay closed" in Bhutan, says Kinga Tshering, a former Bank of Bhutan chief executive officer who now is helping head the education city effort. Now, "there is a whole explosion of activities."
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A statue of Buddha was under construction at Kuensel Phodrang in Thimphu.
Singye Wangchuk/Reuters…